The Bosnia and Herzegovina generally allows for the deduction of input VAT to offset output VAT for non-resident taxpayers. When input VAT exceeds the output VAT in a given period, the excess may be carried forward as a tax credit to offset future output VAT payable, or a request for a refund may be made. Any tax credit that has not been used after a period of six months is refunded. Registered exporters are to be refunded within 30 days.
Effective 12 December 2020, in order to claim a VAT refund, a non-resident taxpayer must appoint a tax representative in Bosnia and Herzegovina, and the tax representative is responsible for handling all obligations in relation to VAT refunds, including communication with the Indirect Taxation Authority. For this purpose, the tax representative must be registered for VAT in Bosnia and Herzegovina and obtain approval from the Indirect Taxation Authority to act as a representative for VAT refund requests.